Regulatory Alerts2022-05-17
Reserve Bank of New Zealand: Insights from New Zealand Solvency Returns for the 2015 Financial Year
The Reserve Bank of New Zealand analyzed regulatory solvency returns from 62 licensed domestic insurers and 34 foreign branches for the 2015 financial year to assess capital adequacy and risk exposure. The report details that aggregate minimum solvency capital totaled $3.1 billion, with deductions from capital representing 21% of net assets, while median adjusted solvency ratios stood at 171% against internal targets averaging 120% to 153%. It further examines solvency positions under home jurisdiction requirements, noting significant variation in ratios for insurers subject to Australian standards, and identifies specific data quality issues for supervisory feedback.
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